Should you have Long term Care?

Genworth Financial’s 2013 Cost of Care Survey, conducted by CareScout, included nearly 15,000 LTC providers from all 50 states. The top ten most expensive states for Long Term Care are New Jersey, New York, Connecticut, Maine, New Hampshire, Vermont, Delaware, Massachusetts, Hawaii and Alaska. I’ve listed below the costs for New Jersey, New York and Connecticut. The study, running for its 10th year, indicates that over the past five years the median annual rate for a room in a private nursing home has increased by 4.45% (compound annual growth rate), so that the room you might have had in 2008 at a cost of $67,525 will now cost you $83,950—an additional $16,425 per year. The top ten least expensive states include Arkansas, Texas, Iowa, South Carolina, Georgia, Kansas, Oklahoma, Alabama, Louisiana and Missouri I recommend Long Term Care insurance for all my clients because only a lucky 30% of the population is estimated not to need long-term care after age 65. If you want to discuss this further, please call me.

New Jersey
Average Annual Cost: $65,203
Adult day care: $20,800
Licensed home care: $46,904
Assisted living: $71,928
Nursing home (private room): $121,180

New York
Average Annual Cost: $59,598
Adult day care: $19,500
Licensed home care: $45,760
Assisted living: $47,400
Nursing home (private room): $125,732

Connecticut
Average Annual Cost: $68,983
Adult day care: $20,800
Licensed home care: $43,472
Assisted living: $60,000
Nursing home (private room): $151,658